SNGN Romgaz Medias – Q1/2018 results



The achievement of net profit margin (33.81%), EBIT margin (39.56%) and EBITDA margin (50.67%), confirms that the high profitability of the company’s activity is maintained. As compared to the same period of the previous year, the company’s performance was influenced by the reduction of delivered gas quantities determined by a national-wide gas consumption reduction, a warm winter, increased hydraulicity and wind power generation, all corroborated with low prices.


Note: income and expenses do not include in-house works capitalized as non-current assets.


The gas production recorded for Q1 2018 was 1,364.1 mil m3, by 2.3% higher than the production recorded in the similar quarter of the previous year. These results were achieved under the following circumstances:

  • natural gas import increased in Q1 2018, Romania imported a quantity of 8.3 TWh, by 14% higher than for the same period of 2017;
  • From Romgaz natural gas stocks stored in underground storages, the withdrawn quantity was by 11.9 TWh less than in the same period of 2017.

The natural gas consumption estimated at national level for Q1 2018 was of 49.77 TWh, by 1.05% lower than the consumption recorded in Q1 2017 (50.3TWh) out of which approximately 8.33 TWh was covered by import gas and the remaining 41.44 TWh by domestic production to which Romgaz participated with 18.46, representing 37.09% of the national consumption and 42.45% of the consumption covered by domestic gas. The company’s market share decreased by 2.5% as compared to the market share held in Q1 2017.

For Q1 2018, the electricity quantity supplied was by 52.8% lower than the similar period of 2017 due to a warm winter, low prices and lack of commitment to the Balancing Market due to increased hydraulicity and wind power generation. According to the data offered by Transelectrica, the market share was 1.64 % in Q1 2018.

For Q1 2018, Romgaz scheduled investments in amount of RON 297.5 million and spent RON 419.1 million approximately 40.87% (i.e. RON 121.6 million) more than scheduled. On March 31, 2018, the implementation degree of Romgaz Annual Investment Schedule in amount of RON 1,605.00 million was 26.11%. As compared to the similar time period of 2017, the investments increased by 460.7%, respectively RON 419.1 million as compared to RON 91.0 million. Investments were exclusively financed from the company’s own sources. The value of fixed assets commissioned during the reviewed period is RON 98.8 million.